July 26, 2013

[Name of authorizing individual]

[Title]

[Address Line 1]

[Address Line 2]

[City, State, ZIP]

Re: Energy Efficiency Upgrade Recommendation & Analysis

Dear [Mr./Ms.] [name of authorizing individual]:

[insert your company’s name] has performed a preliminary financial analysis of energy performance improvements for Building Name using the US EPA’s Building Upgrade Value Calculator, and would like to present the following information regarding capital investments that will improve the overall performance of this property:

·  [Insert Project 1 Name]

·  [Insert Project 2 Name]

·  [Insert Project 3 Name]

·  [Insert Project 4 Name]

·  [Insert Project 5 Name]

The estimated cost of the investment would be $0 or $0.00 per square foot, after applicable rebates. Based upon our calculations, we estimate that these investments would result in the following projected financial outcomes:

·  Annual energy savings of $0

·  Annual labor and supplies savings of $0

·  Total annual savings of $0 or annual operating expense savings of $0.00 per square foot

·  Simple payback period of [insert SPP from spreadsheet]

·  Return on Investment of [insert ROI from spreadsheet]%

·  Net Present Value of $0

·  Internal Rate of Return of [insert IRR from spreadsheet] %

If all of these savings were to flow to the bottom line, they would represent a potential increase in Net Operating Income of $0. Using the income approach to value, this translates into the potential addition of $0 to Building Name’s asset value, at a capitalization rate of [insert cap rate from tool input screen].

We also estimate that the improvements would result in increasing the Building Name’s national energy performance rating from [insert rating before upgrade] to [insert projected rating after upgrade], which represents a [percentage] point improvement. This rating provides a comparison, against the national average, of a building’s energy performance, and can serve as the foundation for a strategic approach to energy management that will optimize investments in energy efficiency. The rating system accounts for the impacts of year-to-year weather variations, as well as building size, location, and several operating characteristics to make a more objective and comparable assessment of energy performance.

Therefore, we recommend and request approval for these energy efficiency measures to improve Building Name’s overall performance. Please contact [insert contact name] to discuss this analysis and these proposed improvements. We look forward to speaking with you.

Sincerely,

[insert name]

[insert title]